Eleanor paid an annual premium of $2,000 in total coverage for her homeowner's insurance, including $250,000 in damage coverage and $250,000 in liability coverage. six years into her policy, a tree fell on eleanor's home and caused $40,000 worth of damage. eleanor's insurance company paid the claim. did the cost of the benefit of transferring the risk to the insurance company outweigh the cost of the premium? (5 points) yes, the cost of the annual premium for 10 years was more than the accident claims yes, the cost of the annual premium for 10 years was less than the accident claims no, the cost of the annual premium for 10 years was the same as the accident claims no, the cost of the annual premium for 10 years was more than the accident claims

Costco wholesale corporation operates membership warehouses selling food, appliances, consumer electronics, apparel and other household goods at 471 locations across the u.s. as well as in canada, mexico and puerto rico. as of its fiscal year-end 2005, costco had approximately 21.2 million members. selected fiscal-year information from the company's balance sheets follows. ($ millions). selected balance sheet data 2005 2004 merchandise inventories $4,015 $3,644 deferred membership income (liability) 501 454 (a) during fiscal 2005, costco collected $1,120 cash for membership fees. use the financial statement effectstemplate to record the cash collected for membership fees. (b) in 2005, costco recorded $46,347 million in merchandise costs (that is, cost of goods sold). record thistransaction in the financial statement effects template. (c) determine the value of merchandise that costco purchased during fiscal-year 2005. use the financial statementeffects template to record these merchandise purchases. assume all of costco's purchases are on credit.